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201
Notes to the financial statements
31 December 2012
(continued)
Annual Report 2012 KPJ Healthcare Berhad
28. Deferred revenue
Group
2012
2011
RM’000
RM’000
At 1 January
53,591
40,881
Additions
48,278
54,728
Earned during the financial year
(40,736)
(42,018)
At 31 December
61,133
53,591
Represented by:
Fees received in advance
- Students’ fees
2,414
2,307
- Accommodation fees
658
693
KPJ Wellness Subscription Fees
58,061
50,591
61,133
53,591
The Wellness Programme provides healthcare service packages (“packages”) to the public under the allocated specialist hospital. The packages range from
5 years, 10 years and 18 years to individuals and couples. Subscription fees are recognised as revenue over the subscription period, however, they are
classified as current liabilities as the subscription period is for a period of 12 months only. In order to carry on the packages, subscribers are required to pay
renewal fees on a yearly basis up to the end of the subscription period.
29. Deposits
Long term deposits represent amounts received from consultants, which are repayable on death, retirement (at age 65) or disability of the consultants.
Deposits are forfeited on termination of a consultant’s practice either by the Group due to events of breach or on early termination by the consultant. However,
the deposits may be refunded to the consultants if approval from the Board of Directors is obtained.
Long term deposits previously measured at cost, are now measured at fair value initially and subsequently at amortised costs using effective interest method.
The differences between the fair value and cash value are recognised as deferred consultancy expenses and amortised using remaining service period to
retirement (at age 65) of consultants. These amortisation expenses are charged to profit or loss.
Group
2012
2011
RM’000
RM’000
Represented by:
Refundable practicing deposits
8,601
7,356
Deferred consultancy expenses
6,923
7,429
15,524
14,785